Sunways negotiates out of wafer supply deals and insolvency


German solar company Sunways AG today announced an agreement with its creditors which it expects will allow the company to exit the preliminary insolvency proceedings started on May 7.

With the Kostanz company –and wholly owned subsidiary Sunways Production – also negotiating a way out of crippling long term wafer supply deals today, the pressure on the manufacturer has eased considerably.

Sunways AG announced it has reached a deal to pay an unspecified one-off amount to settle all outstanding claims arising from two long term wafer supply deals.

Having committed to buy wafers from 2006 to 2018 under one deal and from 2007 to 2017 under the other, Sunways AG negotiated last month to instead agree to purchase a specified amount of the solar material used to make cells until the end of this year.

That agreement has now been further amended with Sunways agreeing to pay the unspecified sum by the end of October to settle all outstanding claims arising from the two contracts.

It is estimated today's agreement will wipe €10 million (US$13.3 million) from the liabilities on the company's balance sheet.

And, on something of a red letter day for the manufacturer, it also renegotiated repayment of €7.6 million of receivables owed to its banks.

During the second quarter of last year, the company secured a €6.6 million credit line from the banks through to the end of next month only for credit facilities to be withdrawn in May after the Stuttgart-based BW Bank initiated preliminary insolvency proceedings, via the Kostanz local court.

With the receivables owed figure having risen to €7.6 million, Sunways has agreed to repay €5.6 million by the end of November with a further €1 million due in August 2015 and the outstanding €1 million waived. Sunways says it expects to exit preliminary insolvency proceedings as a result.

Popular content

This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact:


Related content

Elsewhere on pv magazine...

Leave a Reply

Please be mindful of our community standards.

Your email address will not be published. Required fields are marked *

By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.

Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.

You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.

Further information on data privacy can be found in our Data Protection Policy.